Saudi Arabia to fine employers $3000 for violating leave rule

Image used for illustrative purpose Members of the Chambers of Commerce in the Saudi capital Riyadh vote for a new president of the commercial body in rare elections November 11, 2008.

REUTERS/Fahad Shadeed

By Staff Writer, The Saudi Gazette

RIYADH — Employers will be fined SR10,000 if they violate Labor Law provision with regard to the prescribed holidays of their employees.

This has been included in the revised table of violations and penalties pertaining to the Labor Law regulations.

The table approved by Minister of Labor and Social Development Ali Al-Ghafees was revised after making necessary amendments in view of the changes and developments in the labor market, according to a ministry statement carried by the Saudi Press Agency.

A SR10,000 fine will be imposed on employers who violate the revised Article 38 of the Labor Law by allowing a non-Saudi employee to work in a profession other than the one specified in his work permit.

The same amount of fine will be imposed if Article 15 is violated by not opening a file of the firm in the Labor Office or not updating the data of the firm at the office.

Employer will be fined SR2,000 for keeping employee’s passport, iqama (residency permit) or medical insurance card without his consent.

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Employer will be fined SR10,000 for not having organizational regulations or not complying with them.

Failure to submit the Wage Protection file to the Labor Office on a monthly basis will result in a fine of SR10,000.

If the firm fails to meet the requirements of health and occupational safety of its staff, the penalty will be SR15,000 in fine.

The fine will be doubled if the offense is repeated.

The fine must be settled within one month after the issuance of penalty, the failure of which will result in the doubling of fine.

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